DNBNOR - ACCOUNTS ACCORDING TO NEW, INTERNATIONAL STANDARDS IFRS

DnB NOR ASA will present accounts for the first quarter of 2005 on Tuesday, 3 May 2005. DnB NOR will present accounting figures based on previous Norwegian accounting standards as well as the new, international standards IFRS, which will be adopted by listed companies, e.g. in the EEA area, as from this year. (Enclosures on www.newsweb.no). DnB NOR ASA will present accounts for the first quarter of 2005 on Tuesday, 3 May 2005. DnB NOR will present accounting figures based on previous Norwegian accounting standards as well as the new, international standards IFRS, which will be adopted by listed companies, e.g. in the EEA area, as from this year. To ensure a better understanding of the report for the first quarter of 2005, DnB NOR has prepared pro forma figures for 2004 for the Group according to the new principles. The main implications of the transition from previous accounting principles to reporting according to IFRS for 2004 are: · Operations in Vital Forsikring will be fully consolidated, which means that individual items in Vital`s accounts will be consolidated with corresponding items for other group operations, resulting in a rise of around NOK 163 billion in total assets in the Group`s balance sheet. The consolidation will also have an impact on income, operating expenses and taxes. · Ordinary amortisation of goodwill will no longer be permissible. Instead, goodwill will be subject to continual evaluation and written down when book value is higher than estimated value. · A number of balance sheet items will be assessed at fair value, including the bank`s commercial paper and bonds. Principal implications for main figures: · A NOK 198 099 million rise in total assets in the balance sheet. · A NOK 3 562 million increase in equity, of which NOK 3 415 million refers to the reclassification of allocated dividends from liabilities to equity. Thus, other changes give a NOK 146 million increase in equity. · A NOK 853 million rise in profits for 2004, primarily reflecting the annulment of goodwill amortisation and changes in the fair value of financial instruments previously not included in profits. As yet, capital adequacy calculations will be based on previous accounting principles as it has not been clarified how Norwegian authorities will adapt capital adequacy regulations to IFRS. Enclosures: Description of changes in accounting principles, pro forma profit and loss accounts and balance sheet for 2004 restated according to IFRS and analyses of the effects for selected profit and loss and balance sheet items. Questions can be directed to Per Sagbakken, tel. (+47) 22 48 20 72, or Jan Erik Gjerland, tel. (+47) 22 94 99 69. http://www.newsweb.no/index.asp?melding_ID=106740